According to the NACE classification, the dairy industry belongs to the processing industry, production of food products, and is one of the most important industries in Latvia’s national economy. The research aim is to identify the newest trends in processing dairy products and in consumer behaviours. To achieve the aim, the following research task is set forth: to analyse the output, import, export, and consumption of dairy products in Latvia in 2005–2010. The following methods are applied in the research: general research methods: analysis and synthesis, documentary analysis, monographic and graphic methods. Statistical analysis was applied for social and economic studies. Materials used in the research: data of the Latvian Central Statistical Bureau, the Rural Support Service of the Ministry of Agriculture, and the Latvian Central Union of Dairy Farmers. The main conclusions: The dairy industry of Latvia meets the consumption needs of its population. The export of dairy products exceeds their import. More and more dairy products of low value added are exported or the proportion of raw milk increases in the total export of dairy products.